[Peetwo]

Cost of Albo's silence??

INDEPENDENT senator Nick Xenophon has called large political donations by listed regional airline Rex “incredibly baffling” and said he would be buying shares in the company so he could press board members on why the donations were made.

Mr Xenophon, who led a Senate committee inquiry into much criticised government investigation into the crash of a Rex-owned passenger plane off Norfolk Island, said the airline had an “obligation” to disclose why the donations were made.


Between July and November 2012 — amid a three-year inquiry into the Norfolk Island crash — Rex made a $250,000 donation to the ALP, $95,700 to the federal Nationals and $40,000 to the Liberal Party. This made the small airline one of the biggest political donors in the country.

“Rex is a public company and it had an obligation to explain whether even one (word) regarding the crash was spoken with any of the political parties,” Mr Xenophon told The Australian.

..Of particular interest was Rex’s $250,000 donation to the federal ALP given the airline was a highly vocal critic of the Labor government.

In 2013 Rex publicly said the ALP was “hellbent” on destroying regional aviation and “along with it pretty much the rest of the economy”.

Mr Xenophon said it appeared to defy reason why Rex would donate heavily to a government it would shortly afterwards describe as “destroying its industry”.

“Perhaps Rex had a case of Stockholm syndrome?” he said.

In 2009 a Rex aeroplane — operated under the group’s Pel-Air brand — ditched into the ocean with six passengers on board, badly injuring one.

A lengthy Australian Transport Safety Board investigation blamed the Pel-Air pilot involved in the crash but failed to mention 57 breaches or “serious deficiencies” at Pel-Air.

Mr Xenophon headed a Senate committee inquiry into that botched investigation, which led to the federal government last month calling on the ATSB to reopen the investigation...

I also seem to recall a certain DIP statement, that recorded the DIP (on the way up to meeting with former minister Albo) bumping into a certain Mr John Sharp coming out of the lift with a number of files etc. under his arm?? - Hmm definitely have to dig that one out    

 Dear Mr Albanese,
 
Why do you not have a copy of the audit from CASA regarding the ditching of VH-NGA?
I would think being a Transport Minister that you would have copies of such serious incidents in the form of report, especially considering that we were travelling through International air-space. Please answer that question too.
 
Kind Regards,
Karen Casey.

TBC..

The questions that Ziggy asked back then were IMO fair & reasonable, why would the former minister Albanese deny having access or reject the proposition of being able to obtain a copy of the December 2009 CASA 'Special Audit Report' of PelAir? Could it be that that by then Albo had already reached some formal agreement to O&O the ATSB PelAir investigation in lieu of the REX 250K political donation? One thing is for sure Albo definitely has held 'MUM' on making any comments, responses to the Senate PelAir cover-up inquiry findings. Maybe that's what the 250K was for i.e. to buy his silence??

Timeline of incredulity -

How can it be that REX as an independent commercial Aviation company, that prior to 2012 had shunned any association with the ALP, suddenly decide in 2012 to make it's largest political donation ever & since?

From REX Media Release Archive:

 2011

11 JULY 2011

MEDIA RELEASE

GOVERNMENT MEASURES WILL DECIMATE REGIONAL AIR SERVICES

Regional Express (Rex) today expressed its strong disappointment at the recently announced carbon tax on regional air services.

Rex Chief Operating Officer, Chris Hine, said that regional air services are facing an avalanche of adverse government measures of which the carbon tax is the latest. In addition to the carbon tax those already recently announced by the Federal Government include:

 

? removal of the en-route rebate scheme for regional airlines

? additional fuel excise to increase funding to CASA

? increased security screening at regional ports

"The combined effect of these measures on Rex alone would equate to at least $6m per annum." Mr Hine clarified. "Rex has already announced in its release of 1 June 2011 that the outcome of these measures could be the loss of air services to half a dozen marginal regional ports like Taree and Grafton."

"I foresee many regional operators without the financial strength and diversification of the Rex Group being forced out of business once these take effect after 1 July 2012. Those surviving will have to cut back on marginal routes in order to remain in business. This will unfortunately mean that some regional communities will suffer the loss of their essential air services."

"We call on the Federal Government to consult with regional aviation with the hope that the Government will strongly reconsider its position on regional air services before it is too late. Given the extremely fragile state of regional aviation in Australia today, once an operator goes out of business it could become irreversible as the returns are too slim and uncertain to attract new entrants."

Regional Express (Rex) is Australia’s largest independent regional airline operating a fleet of more than 40 Saab 340 aircraft on some 1,300 weekly flights to 35 destinations throughout New South Wales, Victoria, Tasmania, South Australia and Queensland. The Rex Group comprises Regional Express, air freight and charter operator Pel-Air Aviation and Dubbo-based regional airline Air Link, as well as the pilot academy Australian Airline Pilot Academy.

There was certainly no love lost between REX & the former miniscule for non-aviation Albo:

20 JUNE 2011

MEDIA RELEASE

REX CORRECTS MINISTER ALBANESE

Regional Express (Rex) objects to the spurious allegations by the Minister for Infrastructure and Transport, Anthony Albanese, that were made in Parliament on 14 June 2011 as well as to the media on 16 June 2011 (ABC North Coast news).

Rex Executive Chairman Lim Kim Hai clarified, "The Minister has publicly levelled several false accusations against Rex and it behoves the Rex Board to set the public record straight for the benefit of its stakeholders and public."

Rex lays out the facts:

Anthony Albanese (AA): "Rex has not sought a discussion with me over any of these issues" (Hansard recordings of House of Representative proceedings 14 June 2011, page 130)

Facts: Rex has made several approaches to the Minister’s Office and to the Department of Infrastructure and Transport and has repeatedly expressed its concerns over these issues (including the en-route scheme). Rex also specifically highlighted its concern over regional aviation issues, including the en route scheme, in its submission to the Minister’s aviation green paper in February 2009. More recently Rex has met with the Minister and his Department as follows:

- 17 Feb 2010 - The Rex Deputy Chairman, Managing Director and Senior Management travelled to Canberra to meet Mr. Mike Mrdak, Secretary of the Department, to brief the Department on Rex's concerns. Mr Mrdak was unable to attend at the last minute and designated the Deputy Secretary, Mr. Andrew Wilson, for the meeting. At this meeting several regional aviation issues were raised including specifically the en-route scheme.

- 9 Feb 2011 - The Rex Deputy Chairman and Managing Director met with Moksha Watts, the Aviation Advisor to Minister Albanese, and Mr. Andrew Wilson at the Minister's office in Parliament House. A complete briefing on the threats to regional aviation was given and the presentation material was left with the Minister’s aviation advisor. The Minister was present briefly but did not participate in the briefing due to other commitments.

- 15 Feb 2011 - the Australian Aviation Associations Forum (TAAAF), of which Rex is a member, met with Mr. Mike Mrdak and briefed him on aviation issues of industry concern including the en-route rebate scheme.

- May 2011 - the Regional Aviation Association of Australia (RAAA), where Rex holds a Vice Chairman’s position, met recently with Moksha Watts to again brief her on the en-route scheme.

Jump then to 2012 (the 250K donation year) and the release of the ATSB PelAir cover-up final report:

3 SEPTEMBER 2012

MEDIA RELEASE

ATSB REPORT ON NORFOLK ISLAND DITCHING

The Australian Transport Safety Bureau (ATSB) has released its Final Report on the investigation of the ditching of the Westwind aircraft off Norfolk Island in November 2009 and Pel-Air accepts all the findings of the report.

Pel-Air notes that the ATSB has found that Company procedures and flight planning guidance managed risk consistent with regulatory provisions.

The ATSB has concluded that at the time of flight planning, there were no weather or other requirements that required the nomination of an alternate aerodrome, or the carriage of additional fuel to reach an alternate. Furthermore, the ATSB has found that the aircraft carried sufficient fuel for the flight in the case of normal operations.

The opportunities for improvement identified by the Company and documented in the ATSB report have all been implemented.

Pel-Air Media Contact: Corporate Communications – +61 402 438 361

Not long after Albo's senior adviser emailed Beaker & McComic, to which Beaker replied:

 Then less than 5 months later it is back to the status quo:

27 FEBRUARY 2013

MEDIA RELEASE

FEDERAL GOVERNMENT POLICIES DECIMATING REGIONAL AVIATION

The Regional Express (Rex) Group today announced its first half FY12/13 results with Profit Before Tax of $12.5 million on a turnover of $135 million.

Commenting on the results, Rex Executive Chairman Lim Kim Hai said that as foreshadowed in the profit warning issued at the AGM on 27 November 2012, the Group’s Profit Before Tax for the period slumped by 32.6% to $12.5 million.

"From the very first month of this FY, we are seeing the catastrophic impact the various draconian government polices are having on regional aviation. Not only have policies like the Carbon Tax increased cost significantly, there has also been a significant drop in passenger numbers due to government policies exacerbating the effects of a fragile global economy."

"Regional aviation has been hit particularly hard. Besides the Carbon tax and consistently high fuel prices, it was also the target of an onslaught of government fiscal and regulatory measures which resulted in the steep decline in the results we see today."

"Many regional carriers are now struggling for survival. If the government does not reverse tack very soon, we will see irreversible damage being inflicted by the destructive policies that they have adopted. "

"Rex will work with the Regional Airline Association of Australia (RAAA) to define critical policy measures that need to be adopted to rescue regional aviation. We will call on both the government and the opposition to state their position on these matters prior to the next election"

With high fuel prices, government imposed costs and slowing passenger demand, Rex is expecting a further degradation of results in the second half of FY12/13. The profit guidance for the full year has been revised downwards to 35-40% below the previous FY.

Regional Express (Rex) is Australia’s largest independent regional airline operating a fleet of more than 40 Saab 340 aircraft on some 1,300 weekly flights to 35 destinations throughout New South Wales, Victoria, Tasmania, South Australia and Queensland. The Rex Group comprises Regional Express, air freight and charter operator Pel-Air Aviation and Dubbo-based regional airline Air Link, as well as the pilot academy Australian Airline Pilot Academy.

Rex Media Contact: Corporate Communications - +61 402 438 361

Finally prior to the 2013 election:

3 SEPTEMBER 2013

MEDIA RELEASE

REX WELCOMES COALITION’S POLICY FOR AVIATION

Regional Express (Rex) welcomes the Plan for Aviation (reproduced below) released by the Leader of the Nationals and Shadow Minister for Infrastructure and Transport Warren Truss on 30 August 2013, and urges Labor to similarly state its position before the election.

Lim Kim Hai, Rex’s Executive Chairman said, “The Coalition’s Policy addresses critical areas that have been devastating to aviation, especially in the regional aviation sector, and responds to some issues raised in the aviation policy papers presented by the Regional Aviation Association of Australia, The Australian Aviation Associations’ Forum, and Rex over the last two years.”

“Aviation has been decimated by bad policies and neglect for the best part of the last decade and today it is on its knees with Virgin Australia, Tiger and the Qantas Group all bleeding heavily and in a dangerous tailspin. If Mr Truss gets into government I trust that he will keep his election promises and faithfully carry out the agenda set out in his Aviation Policy. Regional aviation has suffered too much in recent times from broken promises and neglect and deserves better going forward.”

Regional Express (Rex) is Australia’s largest independent regional airline operating a fleet of more than 40 Saab 340 aircraft on some 1,300 weekly flights to 35 destinations throughout New South Wales, Victoria, Tasmania, South Australia and Queensland. The Rex Group comprises Regional Express, air freight and charter operator Pel-Air Aviation and Dubbo-based regional airline Air Link, as well as the pilot academy Australian Airline Pilot Academy.

Rex Media Contact: Corporate Communications – +61 402 438 361

I guess by then the 250K donation obligations for Albo & the ALP had expired and it was back to Albo's contempt for the aviation industry (as per normal)...
MTF...P2
Ps I don't think Albo ever took up the REX challenge, and much like this election I don't think Labor ever, as such, published or supported an aviation policy?? - Oh that's right Albo always backed his Great White Elephant paper - wonder if he will still point to that load of bollocks in this election??